mm, situation analysis

This Video presentation has been prepared as a part an obligation for MBA Coursework for LSBF, Market Management. : 

This Video presentation has been prepared as a part an obligation for MBA Coursework for LSBF, Market Management. SONY SITUATION ANALYSIS and Product Extension

Discussion Points : 

Discussion Points Company and Mission Current Product: Marketing Mix Positioning Target Market External Forces Product Extension Conclusion

Company and Mission : 

Company and Mission Started in 1946 Introduced the first Transistor radio (makes Sony famous for music yet) Direct view portable TV In the recent past holds the reputation for the Thinnest TV Quality picture output

Company and Mission contd... : 

Company and Mission contd... Company Head office in Japan, Sub office in United States, Research and Development offices in both places 167,000 employees worldwide Company was making losses a few years before 2009 and recovered after introducing its latest product Bravia TV. Has over 7 other product ranges like Music sets, cameras, Video players, MP3s, Computers etc.

Company and Mission contd... : 

Company and Mission contd... MISSION STATEMENT “Sony is committed to developing a wide range of innovative products and multimedia services that challenge the way consumers access and enjoy digital entertainment. By ensuring synergy between businesses within the organisation, Sony is constantly striving to create exciting new worlds of entertainment that can be experienced on a variety of different products.”

Current Product – MARKETING MIX : 

Current Product – MARKETING MIX Product Specification: Bravia TV range Screen sizes 22” to 60” Top Features: Full HD, LED, 3D, Free view, Free HD Presence sensor – power off Price - Price range - £280 to £3,500

Current Product – MARKETING MIX Contd.. : 

Current Product – MARKETING MIX Contd.. Product Life Cycle: 1 – 4 years 3 product-line extensions between 2009 and 2010: HDTV, 3D, Internet TV Continuous innovation imperative for sustainability Place - present in the markets of 92 countries with its own/rented outlets

Current Product – MARKETING MIX Contd... : 

Current Product – MARKETING MIX Contd... Promotions: +++ Advertisements Sponsorships/Charities Promotions – FIFA Competition quests during FIFA People Present in the markets of 92 countries with its own/rented outlets

Current Product – POSITIONING : 

Current Product – POSITIONING Differentiator - high quality, high price

Current Product – TARGET MARKET : 

Current Product – TARGET MARKET Customer and needs: Middle and upper level income groups; Professionals, businessmen, Executives – relaxation, status, After work, in the evenings Sports (especially Football) enthusiasts who want to have some quality and excitement – Excitement Sports men – Love for sports - Quality those could not be there in the stadium due to logistics and financial reasons Parents (who could afford) especially for children Entertainment, education

Current Product – TARGET MARKET Contd... : 

Current Product – TARGET MARKET Contd... Competitors: Main competitor Samsung (picture quality lower, but released 3D TV ahead of Sony) Others; LG, Panasonic, Sharp, Philips

Current Product – TARGET MARKET Contd... : 

Current Product – TARGET MARKET Contd... Potential Market: Figures in Values Data source: ITVE.or- (http://www.international-television.org/tv_market_data/international_television_market_report_2009.html)

Current Product – EXTERNAL FORCES : 

Current Product – EXTERNAL FORCES Political: US and Europe together form the largest consumer for TV and the buying decision could be politicised. Change of government in the manufacturing site that may impose changes to the method of current manufacturing or standard of emissions. Environmental: Global warming! Sony produces quite some waste and emissions. New standards and trends for the minimum emissions. Sony has started already to reduce CO2 and to reduce waste. It has mapped its process in order to reduce this in the future to come.

Current Product – EXTERNAL FORCES Contd... : 

Current Product – EXTERNAL FORCES Contd... Social/Culture: Aging generation who does not care innovation, Therefore, Sony’s older generation need to be kept happy – means continuing the expertise for services for older TVs. Technology: Due update with the latest technology developments for its products Unable to find spares due to technological change Economic: Recession, Inflation and exchange rates, increase in production costs in the current lowest market Legal: Misuse of patent law – blue ray case, 2007.

Product Extension : 

Product Extension Extended Brand: Bravia – Natural Description: Includes additional 4 sets of lights works with a control from the sensor from the TV The 4 lights setup in the room will adjust the lights in the room to give the consumer a natural view with extended pictures out of the TV The rest of the settings remain the same as Bravia

Product Extension : 

Product Extension Price: NO change No quality reduction Price would have been dropped anyway, if no more value was added to Bravia With the new value addition the price could be retained at the same level Promotion: Olympics 2012 will be used to release the product

Current Product – SWOT : 

Current Product – SWOT

Current Product – SWOT Contd.... : 

Current Product – SWOT Contd....

Conclusion/Recommendation : 

Conclusion/Recommendation The option is viable given the Image of Sony, as a company and its outlets all over the world Supports Sony with its continuous innovative strategy Market share and thus the life cycle for Bravia increases Competitive advantage retained over competitors. Bravia-Natural will be viable and a very profitable option Bravia-Natural will be viable and a very profitable option

THANK YOU : 

THANK YOU